Workers at Shinko Microelectronics have voted by three to one to accept a new £4 million redundancy package. Over half the 280 workers, who have more than 10 years' service at the Tallaght plant, will receive between £20,000 and £40,000, inclusive of statutory entitlements.
SIPTU branch secretary Mr Brendan Byrne welcomed the result of yesterday's ballot and said it represented the best deal negotiable. It is based on six weeks of pay per year of service. Originally the company had offered four weeks and this offer was improved after intensive negotiations at the Labour Relations Commission. Six weeks of pay is becoming the norm for the hi-tech sector.
Unlike some recent packages, the Shinko Microelectronics deal is inclusive of statutory redundancy. However this is more than balanced out by a company concession that shift premia, worth 35 per cent of basic rates, be included in calculating workers' entitlements.
Basic rates range from £280 a week to £330 for most production workers. Clerical administrative staff earn between £18,000 and £25,000 a year. Both sides have yet to decide the fate of any pension scheme bonus. SIPTU wants any surplus to be invested for the future.
Production ceases in two weeks but about 80 employees, mainly clerical administrative staff, will be kept on for between two and three months. They will receive a finishing bonus worth an additional four weeks of pay.